Eddy current sensors are an attractive choice due to their high resolution, reliability, and durability in harsh environments while being able to measure in a non-contact manner. This paper presents a novel design to realize a thin eddy current-based angle sensor. It is realized by converting the shaft, whose rotation angle is to be measured, into the sensing element. The modification to the shaft is minimal; a small surface groove is introduced without affecting the mechanical strength. The stationary part of the sensor consists of two layers of flexible square-planar coils. Depending on the angular position of the shaft, the inductances of the planar coils get modified. These are measured using a specially designed circuitry, optimized for this sensor. The output for the entire circle range (360∘) is derived from the inductance values of each coil using a successive approximation algorithm developed for this purpose. Finite element analysis was employed to design the sensor and analyze the axial/radial misalignment of the rotor. A sensor prototype was built and tested. The output showed a resolution of 0.1∘ and the worst-case linearity error of 0.9%. The prototype sensor dimensions are designed to fit in a standard steering column. The proposed sensor is thin, easy to manufacture at low cost, tolerant to axial vibration by design, and has a 360∘ sensing range.